Landlords Raising Rent as Military Allowances Go UP

An increase of 15% housing allowance for all soldiers will be implemented starting January 1, 2014. This privilege, however, will cause landlords to raise their rent cost between their military tenants. Real estate expert suggests that the reason for this increase is the scarcity of vacant housing.

Newly developed and renovated buildings and houses outside the city mostly will target the military. However, raising the rent charge will eventually affect the non-military tenants as well. It will be inconvenient and unfair for most non-military tenants to pay higher rates. These circumstances convinced most landlords to replace some of their tenants with the military. Still, that will depend on the military deployment causing a higher turnover on the apartments.

It will not be difficult to look for military tenants since most of them will now prefer newly constructed housing units at large complexes as they have enough money to spend with.

Nevertheless, as housing construction increases and rental pricing become more competitive, the number of military members choosing new complexes will slow down eventually. Military families will be forced to purchase a house rather than rent one due to the escalating rents.